As we step into the heart of autumn, the Fairfield County real estate market remains dynamic. From Fairfield to Greenwich, we're committed to providing you with a comprehensive overview of the latest market insights across the county's most sought-after neighborhoods. Today’s market offers a blend of challenges and opportunities for both buyers and sellers. We hope our guidance allows you to make thoughtful decisions amid this ever-changing landscape.
Recapping our Q3 market insights, we observed three primary trends shaping Fairfield County real estate:
Decreased Unit Sales: The fourth quarter of 2023 continued the trend of lower unit sales compared to the previous year. This decline can be attributed to a considerable reduction in available inventory.
Surging Home Prices: The demand from buyers significantly outpaced the supply from sellers, resulting in continued upward pressure on home prices.
Modest Growth Expected: Despite interest rate increases, we anticipate modest home price growth in the 4th quarter of 2023. Sellers can still benefit from a strong position if they receive proper guidance on how to effectively market their properties.
The latest October data aligns with these trends, confirming the dynamic nature of Fairfield County's luxury real estate market. Homes are selling closer to their list prices and at an accelerated pace. The increase in median sales prices underscores the enduring appeal of the region, driven by various factors that continue to make Fairfield County a highly desirable destination.
Here's a snapshot of the October 2023 market data:
• Unit sales decreased by 11.0%, primarily due to a significant reduction in new listings (-35%).
• Sales to List Ratio increased by 3% compared to one year ago.
• Average Days on Market decreased by 2.8%, indicating that homes continue to sell swiftly.
• Median Sales Price increased by 8.3%.
For those contemplating real estate transactions in the 4th quarter of 2023, here is our advice:
For Sellers: The data suggests that it remains a favorable time to sell your property. Despite high-interest rates, strong demand and limited inventory continue to work in favor of sellers. We understand that many sellers are concerned about being locked into low mortgage rates, and we have strategies to address these unique situations. Please reach out to discuss specific options tailored to your needs.
For Buyers: If you're a buyer in the fourth quarter of 2023, proactive planning and wise budgeting are essential. While bidding wars have become less common recently, the real estate landscape remains competitive. A strategic approach and flexibility in your home search will be crucial to securing your ideal property.
No matter your real estate situation, having a trusted expert who comprehends local market dynamics is invaluable. Our advice-driven approach is designed to guide your decisions effectively. Please don't hesitate to contact us so we can provide tailored support for your specific needs.
A Final Note:
While the purpose of this newsletter is to provide meaningful insights into the Fairfield County real estate market, we would be remiss if we didn’t briefly mention the recent Sitzer / Burnett lawsuit settlement.
In the coming weeks, we will address the implications of the lawsuit more fully, but in an effort to be fully transparent, we could not let the matter go entirely unaddressed.
In this lawsuit, which accused the National Association of Realtors (NAR) along with other major real estate brokerage firms, of conspiring to inflate and fix home prices, a jury found the defendants guilty. While the amount in damages is significant and we expect there to be some ramifications in the future, nothing has changed thus far. At this point, there is nothing more than speculation and uncertainty regarding the implications of this lawsuit.
Rest assured that our commitment to you, our valued clients, remains unwavering. We will keep you informed about any potential changes to the current real estate structure, as this issue continues to evolve. Your trust in us is our highest priority, and we pledge to provide you with up-to-date insights on this major industry development.